Assignment Drive WINTER 2017 Program MBA Semester IV Subject Code & Name MA0046 Merchant Bankers BK Id B1812 Credit 4 Marks 60

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ASSIGNMENT

DRIVE WINTER 2017


PROGRAM MBA
SEMESTER IV
SUBJECT CODE & MA0046
NAME MERCHANT BANKERS
BK ID B1812
CREDIT 4
MARKS 60

Note: Answer all questions. Kindly note that answers for 10 marks questions should be
approximately of 400 words. Each question is followed by evaluation scheme.

Q.No Question Marks Total Marks


1 “Every merchant banker shall abide by the codes of conduct as specified in the SEBI Act
1992”. In the light of the statement describe the guidelines issued in the Act.

A Code of conduct for Merchant Bankers 10 10

2 “Through the mechanism of book building the listed companies can raise capital by offering
Initial Public Offers (IPOs) as well as Follow-on Public Offers (FPOs)”. Enumerate by citing
the relevant guidelines.

A Book Building 10 10
Process, Methods and guidelines
3 Define and distinguish American Depository Receipts (ADRs) and Global Depository
Receipts (GDRs).
Who are the parties involved in ADR/GDR issues?

A American Depository Receipts (ADRs) and Global 6


Depository Receipts (GDRs) & Differences 10
Parties involved in ADR/GDR issues 4

4 Explain the following merchant banking services :


a) Factoring
b) Forfeiting
c) Venture Capital Financing
d) Loan syndication

A
Explain the following merchant banking services :
a) Factoring 3 10
b) Forfeiting 3
c) Venture Capital Financing 2
d) Loan syndication 2

5 Enumerate the concept and risks inherent in Portfolio management.


How will you measure the risks and returns of a portfolio?

A Concept of Portfolio management & types of risks 6 10


Risks and returns of a portfolio 4

6 “The credit rating methodology used by the major Indian Credit Rating Agencies (CRAs)
involves an assessment of all aspects influencing the creditworthiness of an issuer company”.
What are the main factors considered for detailed analysis by the major CRAs?
What are the limitations in credit ratings?

A Rating methodology 6 10
Limitations of credit ratings 4

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